The financial crisis has dried up capital and consequently, the works of the "Big Four" face bidding failure.

It's also worse for individual artists.

"I haven't sold a single piece in several months," says Peng Mingliang, a well-known local artist who doesn't work with a gallery. "It's a dramatic difference but I'm not worried. I'll relax or engage fully in my creation."

Peng represents the top tier of artists, and what really concerns them is not the number of sales but their prices at auction.

"The auction record is a kind of status for an artist," Peng says.

But for many young and unknown artists, selling is the priority, and they need work, even if it isn't art.

"I haven't sold any paintings since last summer," says Wang Yanling who has a loose cooperation with a gallery at M50 (50 Moganshan Road). "Now I am forced to teach school children to make ends meet."

He can't imagine how long the downturn will last, but says it would be unfortunate for art to retreat from the public focus. He is planning a series of joint exhibitions with other young artists.

There could be a silver lining, as they say.

"Now is a perfect time to buy art," says Yang Zheng, manager of the artistic department at Silverstone Terry Investment Shanghai Co Ltd.

Last week, Yang and his company purchased one canvas by Chinese painter Liu Linghua for 9 million yuan.

Yang has been focused on Liu for the past two or three years. At that time the price of a painting was over 10 million yuan.

"But we believe that prices for Liu will go way up, with no problem of coupling its current value."

Yang is confident there will be another boom in Chinese contemporary art after the financial storm passes.

Yibo Gallery owner Chen is also optimistic.

"Now the buyers have more artworks to compare and select from," he says. It reminds him of the hard times when his gallery first opened in 1998. "We have survived since the very beginning, so there is really not much to be afraid of."

Major galleries are trying to lower their overhead, if not their prices.

"We won't have big openings or print fancy, thick catalogues," says Yu from ShanghART.

Still, exposure at international art fairs is essential for ShanghART this year. FIAC, Basel, ARCO, ShContemporary and Hong Kong Art Fair are on the list.

"This is an expense we can't cut," says Yu, "because we need a platform to display our artists' works to the public."

There's a new strategy at Yibo Gallery - promoting young and unknown artists.

"Their works are cheaper, and the buyers might find the next 'Big Four' with a more reasonable price right now," says owner Chen. Yibo isn't attending art fairs since it has its own connection and ways to approach clients.

The downturn also impacts local art fairs.

"If I said 'no,' I'd be lying," says Ge Qiantao, director of the Shanghai Spring Art Salon. The number of participating galleries is about the same, "but the rental space is much smaller," he says.

The average space used to be 100-200 square meters, now it's down to around 30 square meters.

"I don't expect many deals at the coming fair," says Ge. "This is a tough time that all people involved in the art community should face. But if winter comes, can spring be far behind?"

(Shanghai Daily March 9, 2009)